In a significant development, Flour Mills of Nigeria Plc has reported a remarkable increase in revenue, reaching N763.2 billion in the first quarter ending on June 30, 2024. This marks a substantial growth of 67% compared to the N456.4 billion generated in the corresponding period the previous year.
The company disclosed that its gross profit also experienced a surge, rising by 73% to N86.9 billion during the same quarter.
For the first quarter of 2024/2025, the profit stood at N7.4 billion, a significant turnaround from the loss recorded in the prior year’s first quarter, aligning with profit levels observed in the preceding two years.
Driven by revenue growth and effective cost management strategies, the company’s operating profit climbed to N49.9 billion.
Further reinforcing its financial standing, the company boasted a cash reserve of N159 billion, offering flexibility for investments in growth opportunities and resilience against economic uncertainties.
Reflecting on the performance, FMN’s Group Managing Director/Chief Executive Officer, Boye Olusanya, commented, “Our Q1’24/25 results showcase FMN’s ability to deliver strong performance amidst challenging conditions. We have demonstrated remarkable adaptability in navigating the complex macroeconomic landscape, including persistent inflation and exchange rate fluctuations.”
Olusanya highlighted a 68% growth in the agro-allied segment, primarily fueled by advancements in the fertilizer and oil and fats divisions, along with enhanced capacity utilization.
The group’s Chief Finance Officer, Anders Kristiansson, emphasized the strength of the company’s diversified business model, which serves as a robust foundation for sustainable growth and value creation for all stakeholders.
“Our Q1’24/25 results underscore our commitment to delivering value to our shareholders. The significant enhancement in profitability, in conjunction with our substantial cash reserves, positions us well to seize growth opportunities and navigate through economic uncertainties,” noted Kristiansson.
He reiterated the company’s dedication to its core mission of “Feeding and Enriching Lives, Every Day,” while driving lasting shareholder value through strategic investments and operational excellence in response to evolving market dynamics.